"Lanco Infratech announced that Hon. Supreme Court of Western Australia in its judgement has allowed the Griffin Coal to enter Coal Supply Agreement (CSA) with the Griffin power entities," the company said in a filing with the BSE.

At 09:48 am, Lanco Infratech was trading 7.5 per cent higher at Rs 13.46. It has hit a low of Rs 12.75 and a high of Rs 13.58 in trade today.

Commenting on the development, L Madhusudhan Rao, Executive Chairman at Lanco Infratech says that the revised CSA will result in gain of approximately AUD 150 million in net present value (NPV) terms, including substantial upfront payment to Griffin Coal mining company Pty Ltd.

In a separate news report, "Lanco Infratech has begun talks with JSW Energy and Adani Power to sell a power plant in Karnataka as banks pile pressure on debt-laden power companies to sell assets and improve cash flow," ET reported.

Preliminary discussions have taken place between JSW Energy, Lanco and Adani for the sale of the 1,200 mw coal-fired Udupi power plant, three people with direct knowledge of the development said, said the report.

ET reported a person with direst knowledge of the nititial negotiation said, "The top management of JSW Energy had a few meetings with Lanco officials on Udupi power plant" "The talks are very preliminary," he added.